Stuttgart – Perfect city for business, innovation and real estate investment?
Considered as one of Germany’s most dynamic and innovative metropolitan region for high tech development, automotive and mechanical engineering companies and their suppliers, many world leaders such as Mercedes Benz, Robert Bosch GmbH and Porsche make Stuttgart the world’s foremost centre of expertise.
As the state capital of Baden-Württemberg, Stuttgart is a very livable city with an excellent transportation infrastructure, connecting to all major European economic centres via its growing high-speed rail network. The city has a total population of over 620,000 people, which makes it the sixth largest city in Germany. Its urban and metro area have over 2.7 million people and 5.3 million residents respectively, making it the fourth largest in the country. More than 40% of its population hails from overseas. The city and its region have been ramping up efforts to bring in foreign investment, and also promoting small and medium enterprises (SMEs) development.
Baden-Württemberg has the second-lowest unemployment rate, which currently stands at 3,4% (2017), compared to 5,5% nationwide.
How prices are growing in
major German cities?
Germany's strong economic growth has resulted in price increases across German cities: On average the prices doubled in the last 10 years. Rents also follow the house price development in Germany: the average increase amounts to 50% between 2008 ad 2018.
In Stuttgart, the average annual property prices per square meter has increased from 2.300€ in 2008 to 4.830€ in 2018. Meanwhile, the average rent prices per square meter also increased 9,75€ from in 2008 to 14,00€ in 2018.
About us
LoanLink is a German mortgage advisor, and we specialize in helping international clients get mortgage that fits their personal and financial circumstances . If you want to purchase a property in Stuttgart, we can guide you through every step of the process. Our professional Stuttgart mortgage broker team will advise you in English, Chinese, Russian and German, and our online platform will find the best mortgage rates from among 400+ regional and global German banks.
You can access our online platform any day of the week, at any time, to find help with a German mortgage. Besides, we offer a wide range of mortgage calculators that can show you how much you can borrow and afford, and what your property purchase fees may be. And best of all, our resources are in English and are completely free.
LoanLink is registered and controlled by the surveillance authority in Stuttgart.
Got a question or a complex situation?
Our friendly home loan experts are happy to support you in finding a mortgage in Stuttgart. Call us on +49 (0) 30 5683 7535 or email us at [email protected]
How it works
More information on mortgages in Germany
Can’t find what you’re looking for here? We’ve got more answers on our FAQs page.
When buying a property in Stuttgart, you always have to pay for additional fees, such as real estate tax, real estate agent fees, notary costs etc. In Germany, purchase fees may be up to 15% of the property’s purchase price. Similar to a downpayment, purchase fees should be covered by the buyer’s own equity instead of a bank mortgage. In Stuttgart, the approximate additional purchase fees are as follow:
Real estate tax: 5%
Real estate agent fees: 3.57%
Notary costs: 2%
Total costs: 10.57%
For more information in regards to the additional fees you would pay when buying a property in Stuttgart, please check out our mortgage calculators for a more accurate calculation.
As soon as your initial mortgage expires, you have two options. On one hand, you can choose to pay off the entire mortgage at once. Otherwise, you can refinance at current market interest rates with your current bank or a new lender. In most cases, refinancing with a new lender results in better rates for you.
We can help you to identify the best refinancing deal from 400+ partner banks.
Generally, lenders require information about your personal and financial situation. Some of the documents you will need include:
- A German self-disclosure document.
- Proof of equity.
- Proof of income (last 3 payslips).
- 2 years of balance sheets (if self-employed).
- Property information (e.g., the extract from the land register).
- Copy of your passport, blue card, and/or visa.
- Latest tax declaration.
- Documentation of rental income.
To list all documents you may need, please find a Complete document checklist on our blog.
Presently, KFW offers good interest rates for those who are planning to live in the house themselves or who are purchasing a newly constructed house or apartment ( KFW home ownership program or KFW energy efficient construction program).
In essence, a mortgage broker is an intermediary who brokers mortgage loans on behalf of individuals. We compare the mortgage products with an algorithm that spots the best deal for you. Accordingly, you can either visit us in Berlin or Frankfurt or you can simply use our online application process. It’s all digital!
property in Germany